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Zoho Inventory

Stock Adjustment

A Stock Adjustment in Zoho Inventory is a manual correction to the on-hand quantity of an item, used to reconcile the system's recorded stock with the physical count after a stock-take, or to account for damaged, lost, or written-off inventory.

What is a Stock Adjustment in Zoho Inventory?

Occasionally, the stock quantity recorded in Zoho Inventory will not match the physical count — due to breakage, theft, data entry errors, or counting discrepancies. A Stock Adjustment corrects the system’s stock quantity to match reality, with a recorded reason so the adjustment is auditable.

Types of stock adjustments

  • Quantity adjustment: Change the on-hand count of an item — increase if the physical count is higher than the system, decrease if it is lower.
  • Value adjustment: Change the book value of existing stock without changing quantity — used when the cost of inventory needs to be revalued.

Reasons for adjustment

Zoho Inventory requires a reason for every stock adjustment — Damaged Goods, Theft, Expiry, Stock Count Correction, etc. This creates an audit trail that is essential for accounting (the adjustment hits the appropriate ledger account in Zoho Books when integrated).

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